Trade Plan for 10/21-10/25
Every Cloud has a Silver Lining
Last week my big picture plan was to look for $RTY/small caps futures longs and potentially look for $NQ/Nasdaq futures shorts:
This strategy worked exceptionally well for 2 reasons:
First, the accuracy of my levels: The low of the week for $RTY was 2240.2 vs my daily ‘key’ of 2239.9🎯and $NQ’s high of the week was 20680.00 vs my weekly resistance of 20684.50.🎯
Secondly, my overall postulate of $RTY being the best long (+1.83% week over week) and $NQ (+.16%) being the best short was accurate. ✅✅
Last week’s big move was in metals. $GDX/gold miners closed directly on a weekly measured move of 43.15 (to the penny!) I targeted back in May.🎯 I identified a 4hr $GC/gold futures bullflag in the previous week that broke out last week in a big way last week💰 and $SI/silver futures responded very well to my levels.
I was slightly optimistic for $CL/Crude Oil futures as well, but it violated support and closed near the lows.
Summary of Market Action Last Week:
Tuesday was the only red day for both $ES/SPX futures and $NQ/Nasdaq futures. While $ES still settled the week with a slight gain, $NQ closed nominally flat. $RTY/small caps futures traded independently from $ES and $NQ and was the relative outperformer for the second week running.
$GDX/gold miners broke out and closed near the high demonstrating extreme relative strength. $GC/gold futures and $SI/Silver futures also outperformed, settling with impressive gains.
$CL/Crude Oil futures gapped down on the weekly open and barely ticked up before closing near the lows. $XOP/oil equities also put in a red week.
Here’s how last week closed out:
For the week ahead (10/21 - 10/25/24)